850 Purchase Order

An 850 Purchase Order (PO) is a standard electronic document used in business transactions to request goods or services from a supplier. It outlines details such as item descriptions, quantities, prices, and delivery terms. By using an 850 PO, companies streamline their purchasing process, ensuring clear communication with vendors and maintaining accurate records for accounting. This electronic format helps reduce errors and speeds up processing times compared to traditional paper methods, ultimately improving efficiency in supply chain management. It's part of the Electronic Data Interchange (EDI) system, which allows businesses to exchange documents digitally.